Barrack, a Trump ally arrested for foreign lobbying – US Justice Department

WASHINGTON / NEW YORK, July 20 (Reuters) – Thomas Barrack, a billionaire friend of Donald Trump who chaired the former president’s inaugural fund, was arrested on Tuesday and charged with illegally lobbying the administration Trump on behalf of the United Arab Emirates.

A seven-count indictment filed by federal prosecutors in Brooklyn, New York, alleged Barrack, a former Emirati employee and businessman failed to register as a lobbyist and used their influence to advance UAE foreign policy objectives to the US.

Barrack, who was arrested in Los Angeles, is also said to have lied several times during an interview with the FBI about his dealings with the United Arab Emirates.

Barrack’s spokesperson denied the accusations. “Mr. Barrack has made himself available to investigators from the outset. He is not guilty and will plead not guilty,” the spokesperson said.

US Department of Justice official Mark Lesko said in a press release that “the defendants have repeatedly taken advantage of Barrack’s friendships and access to a candidate who was ultimately elected president, to highs campaign and government officials, and to the American media to advance the political objectives of a foreign government without revealing their true allegiances. “

Barrack, 74, is a longtime Trump ally and founder of digital infrastructure private equity firm DigitalBridge Group Inc (DBRG.N), known as Colony Capital Inc before an announced rebranding in June.

Barrack resigned as chief executive of DigitalBridge in 2020. In April, he resigned as executive chairman of the company, but remained as a non-executive director. Forbes estimates his fortune at $ 1 billion.

DigitalBridge manages approximately $ 32 billion in digital assets, which includes data centers in North America and the UK. Barrack owns about 5.7% of DigitalBridge, whose shares closed 1.4% lower at $ 6.93 on Tuesday.

A spokesperson for DigitalBridge declined to comment.

Barrack was a prominent supporter of Trump’s successful presidential campaign in 2016 and chaired his inaugural committee.

Federal prosecutors are seeking to keep Barrack in custody, saying in a court file that his vast wealth, access to private jets and history of international travel indicate he could become a fugitive.

Reporting by Jan Wolfe in Washington DC and Chibuike Oguh in New York; Editing by Mark Heinrich and Peter Cooney

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